CMF will be a standalone Indian company, says Carl Pei

Carl Pei, the CEO of Nothing, has stated that the company will become a standalone Indian consumer electronics brand with a majority stake owned by Indians, located in the country and having its own team and R&D facilities. While India is currently the second-largest smartphone manufacturer, the country does not have a global consumer electronics brand of its own.

Nothing will continue to be a shareholder and partner in CMF and aims to produce 100 million devices annually. Pei emphasized that achieving this goal requires a strong focus on research and development, enabling the company to design, engineer, and continuously improve its products.

In 2015, Indian brands accounted for nearly half of the smartphones sold in the country, with one of them briefly being the best-selling brand ahead of Samsung. However, within two years, foreign brands gained significant market share, as Indian brands relied on licensed designs, minor modifications, and added logos. By 2025, Indian brands held less than 1% of the market they once led.

Currently, 99% of phones sold in India are made domestically, a remarkable increase from almost nothing a decade ago. The Indian government has prioritized local manufacturing and sustained this focus for ten years.

Pei highlighted that manufacturing is the first step, but R&D is crucial for addressing complex problems and building a comprehensive value chain within the country. While some components are made locally, most of the underlying intellectual property still resides offshore, as Indian brands have not demanded more than what is readily available on the market.

India absorbs over 150 million smartphones annually, and the government aims to transform the country into a global export hub. However, India lacks a brand to drive engineering demand. As Nothing's CEO, Pei explained that the company possesses its own operating system, Nothing OS, which is an in-house Android build featuring its own camera processing and unique features, updated regularly since 2021.

Additionally, Nothing designs its industrial designs and collaborates directly with suppliers to source and co-engineer displays, chipsets, and camera modules. The company has successfully sold millions of products worldwide, including in India.